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Hawaii’s historic preservation agency has missed a major deadline for making federally mandated improvements to its program, and could still lose its federal certification and funding, officials said.

The agency will remain on high-risk status after failing to meet a two-year federal deadline for fulfilling a range of upgrades, including hiring staff and shoring up its inventory of historic properties.

Officials from the National Park Service flew in from Washington D.C. last week to determine whether the State Historic Preservation Division had met all the requirements laid out in a 2010 “corrective action plan.” SHPD risked losing its federal certification and funding if it failed to meet the benchmarks.

However, it appears SHPD has been given a reprieve, despite not meeting all of the requirements and ongoing concerns about the division’s leadership.

“I think it’s safe to say that the (corrective action plan) will be extended,” said William Aila, chair of Hawaii’s Department of Land and Natural Resources, which oversees SHPD. He told Civil Beat that Park Service officials had noted significant improvement within the division, but wanted SHPD to continue to work on a couple of areas, including an inventory and survey of historic properties.

Aila said it would be premature to elaborate at this time as National Park Service officials would be sending an official letter with information about the review in the coming weeks.

SHPD’s woes have attracted the attention of Hawaii’s top political leaders concerned with the high-stake repercussions if the state agency were to be stripped of its certification and funding. Billions of dollars in projects in Hawaii that require federal funding, licensing or permits could be delayed, including the $5.26 billion Honolulu rail project.

Criticism Of SHPD’s Leadership Continues

Pua Aiu, head of SHPD, did not respond to a request for comment, nor did National Park Service officials.

But Rep. Sharon Har, who in the past was one of SHPD’s biggest advocates when it came to funding the agency, said Park Service officials had “severe concerns” with Aiu’s leadership, adding that the federal review was “less than stellar.”

Har said that personnel matters are a state issue and beyond the jurisdiction of the National Park Service. Still, Har said she encouraged Park Service officials to include their criticism of Aiu’s leadership in their official report that is expected at the end of May.

Har said that SHPD “continues to suffer” under Aiu and that she hopes Gov. Neil Abercrombie and his administration reconsiders keeping her on.

“The fact that our SHPD will remain on high-risk status continues to be of grave concern to me and other stakeholders,” said Har. “It is my sincere hope that the administration looks carefully to the leadership of SHPD and reconsiders its defense of the administrator.”

Louise Kim McCoy, a spokeswoman for the governor, did not respond to a request to comment on criticism of Aiu. She said that the administration was awaiting the National Park Service’s written report.

Har said that the National Park Service will be coming up with a second corrective action plan which will include a financial audit of the division as well as restrictions on how federal and state funds can be used.

Concerns about Aiu’s leadership are not new. Park Service officials said last year that she was hampering efforts to meet federal mandates, according to a letter sent to the department, Hawaii’s congressional delegation, Abercrombie and historic preservation groups last year.

Larry Oaks, a Park Service official sent to assist Aiu, also told Civl Beat last year that he quit out of frustration with Aiu’s lack of cooperation and refusal to turn over basic budget information.

Har said that she too had problems obtaining financial information from the division.

Last year, SHPD attracted scrutiny after Civil Beat reported that the division had spent money meant for hiring staff on iPads and company vehicles. At the time, about one-third of SHPD’s staff positions remained vacant, with the federal deadline for meeting staffing requirements under the corrective action plan fast approaching.

SHPD, which is often caught amid impassioned disputes surrounding Native Hawaiian burial remains and archaeological sites, has been in disarray for years, leading to the 2010 federal intervention.

Park service officials expressed concerns about SHPD’s slow progress since then. And Har reiterated her belief that poor leadership was to blame.

“I’m not surprised, quite frankly, that we are remaining on high-alert status,” she said. “I think it’s a shame. And again, I continue to say it’s leadership. The fact now, that the second corrective action plan will require a financial audit, I think speaks volumes.”